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How We are Investing Through The Covid Correction

View from Seed

Others are just starting out, but the financial safety net they thought they had from a spouse’s job or highly appreciated stock options has disappeared. Similarly, FOLD has always held seed investors back from doing second seed or late seed investments for fear that they are being suckered into something that others have already passed on.

Cofounder 194
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How to Divide Founder Equity: 4 Criteria to Discuss

View from Seed

Additionally, you should put whatever agreement you reach to paper , even if you have not yet incorporated or had your legal counsel draw up the founder stock paperwork. You can then work with your law firm to formally draw up founder common stock paperwork either then or subsequently. Ideation/IP.

Equity 315
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Punch & Pie: How Should Co-Founders Divide Equity?

Agile VC

Additionally, you should put whatever agreement you reach to paper, even if you have not yet incorporated or had your legal counsel draw up the founder stock paperwork. You can then work with your law firm to formally draw up founder common stock paperwork either then or subsequently.

Cofounder 255
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Punch & Pie: How Should Co-Founders Divide Equity?

Agile VC

Additionally, you should put whatever agreement you reach to paper, even if you have not yet incorporated or had your legal counsel draw up the founder stock paperwork. You can then work with your law firm to formally draw up founder common stock paperwork either then or subsequently.

Cofounder 173
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Knowledge Is Power: Convertible Note Financing Terms, Part I

Gust

For a traditional VC financing round structured as a sale of preferred stock, the best resources I can recommend are the Term Sheet Series by Brad Feld and Jason Mendelson and Startup Company Lawyer by Yokum Taku. (For more on working with startup lawyers, see Mark Suster’s classic post, How To Work With Lawyers At A Startup.).

Finance 178
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Quickly Unpacking Two Recent Acquisitions (of Cylance; of PlanGrid)

Haystack

Typically in M&A, all-cash offers are more common when the acquirer dwarfs the target in terms of market cap; otherwise, M&A usually involves stock in the mix, which leads us to believe Cylance wouldn’t have accepted anything but cash — which makes sense given the company was reportedly booking $130M/year with 3,500 customers.

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Timing: When to raise seed funding.

Scalable Startup

Raising seed capital is a tricky business. Most are making major mistakes in their approach when seeking capital. I get approached often by tech startups looking for their first outside funding. They come in lots of different flavors and stages of fundability. They’re betting on you.